Keynes rejected the view that lower wages would direct a recessionary economy back to full employment because
What will be an ideal response?
powerful trade unions and large corporations made wages highly inflexible.
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Assume Kara's budget constraint is represented by line A in the graph shown, and that her income to spend on these two items is $24. What would cause her budget constraint to move to B?
A. The price of movie tickets falls to $4.
B. The price of movie tickets increases to $4.
C. The price of movie tickets falls to $6.
D. The price of movie tickets increases to $6.
Price discrimination occurs when:
a. firms maximize their profit by setting price equal to marginal cost. b. a seller charges different prices to different consumers of the same product or service. c. a seller charges the same price to consumers of a different product or service. d. a seller charges different prices to consumers, discriminating by race or gender of the consumer.
The true burden of a payroll tax has nothing to do with the percentage of the tax that employers are required to pay
a. True b. False Indicate whether the statement is true or false
Which one of the following would cause an increase in the supply of planes?
A. an improvement in the technology used to produce planes B. an increase in the price of planes C. an increase in taxes applied to plane producers D. a decrease in the demand for planes